Burris: No longer in the running

By Bethany Jaeger
No Lisa Madigan. No Roland Burris. The race to be the next U.S. senator from Illinois just narrowed to a more classic competition. The seat has gained national attention for its previous occupant, President Barack Obama.

Madigan, the Illinois attorney general, announced yesterday and Burris announced today that they opted not run in 2010.

“It’s an open seat, and the focus is more going to be more on national issues than would have been the case if Burris were running or if Lisa Madigan essentially would have cleared the field,” said Kent Redfield, political scientist at the University of Illinois at Springfield.

If Madigan would have run, Redfield said she would have been the Democrats’ strongest candidate. “Her not running is a minus for the Democrats, but Burris not running is certainly a plus. There’s no question about that.”


Burris never shed the cloud that hovered over his appointment by former Gov. Rod Blagojevich. The then-governor had just been arrested on federal corruption charges, accused of trying to personally profit from his powers to appoint the state’s next senator. Early polling of 644 likely voters showed that just 5.3 percent of respondents supported Burris as a candidate for a full term. Numerous Illinois officials, including U.S. Sen. Dick Durbin and then-Lt. Gov. Pat Quinn, urged Burris step down. Burris wouldn’t budge. His ambitious style came through in, "Always in the running," our profile of him in Illinois Issues magazine.

Burris said today during a Chicago news conference that fundraising had a lot to do with his decision not to run in 2010. Here’s an excerpt of his announcement:

Life is about choices. Make no mistake, I love serving in the United States Senate. I love serving the people of Illinois, make no mistake.

I’m the only African-American serving in the Senate, and I believe that diversity and representation of all segments of our society is essential to who we are as a nation.

The reality of being a U.S. senator today [is that it] requires not only a significant time commitment to performing the job, but an almost equal commitment to raising funds to run competitively for the office.

Political races have become far too expensive in this country.

I was called to choose between spending my time raising funds or spending my time raising issues for my state. The people … should always come first.

The chronicles of Burris’ statements about whether he spoke to Blagojevich, Blagojevich’s brother or Blagojevich’s inner circle was the never-ending story. First he testified to an Illinois House committee that was investigating cause for the governor's impeachment. He said he only spoke with Lon Monk, Blagojevich’s former chief of staff. Then Burris revealed in a follow-up affidavit that he also spoke with the governor’s brother, as well as three insiders: Doug Scofield, John Wyma and former Deputy Gov. John Harris, who just pleaded guilty to wire fraud in the ongoing Blagojevich corruption case.

Burris most recently avoided perjury charges in Sangamon County, where State’s Attorney John Schmidt said Burris’s statements might have been vague, but there’s no proof that he intentionally mislead the Illinois House committee. Burris still faces a probe by the U.S. Senate.

His bow out of the 2010 election eliminated an easy target for the GOP, Redfield said. “It kind of takes Burris and Blagojevich out of the Senate race.”

Now, likely candidates are taking shape. On the Democratic side, they include state Treasurer Alexi Giannoulias. Redfield says he has the advantage of being the only candidate so far who has run a statewide race before. He also has a significant campaign kitty, with reportedly more than $1 million raised for his potential Senate bid. Two candidates with less name recognition include Cheryle Jackson, chief executive officer of the Chicago Urban League, and Chris Kennedy, head of Chicago’s Merchandise Mart and son of the late U.S. Sen. Robert F. Kennedy. Redfield said Jackson also could have a slight disadvantage by being tied to Blagojevich. She was his communications director during his first term.

On the Republican side, U.S. Rep. Mark Kirk of Hinsdale has been reported as set to run for the Senate seat. Redfield said he brings his national experience to the table, but as a moderate Republican, he would have to work to gain the moderate and independent vote. Andy McKenna, chairman of the Illinois Republican Party and businessman, also has reportedly discussed the idea. He lost his 2006 bid.

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Pass of the torch

By Bethany Jaeger
Gov. Pat Quinn’s Illinois Reform Commission issued its final recommendations for reforming Illinois government, passing the torch to the state legislators to act before their scheduled May 31 adjournment. While some reform measures appear slated for widespread agreement and enactment, other provisions are more controversial and expected to take a lot more time to negotiate.



Quinn said today that if the legislature fails to act, he might resort to grassroots citizen action to place major reforms on the 2010 ballot. But the state Constitution may limit his power to change anything beyond legislative procedures. (See our next blog, “If the flame is extinguished.”)

Commission chairman Patrick Collins, a former assistant U.S. attorney, said for legislators or opponents who say the commission’s recommendations equal “pie-in-the-sky” ideas, every proposal has been tried in other states or jurisdictions. “It is no excuse to say that these can’t be done because they have been done,” he said.

Commissioner David Hoffman, inspector general for the City of Chicago, said anything short of comprehensive and bold reforms would foster more of the same. “In general, our standard is that reform should not be piecemeal, it should not be tinkering, it should not be minor.”

While commissioners are open to discussing changes with legislators, Hoffman said the commission’s final report is the measuring stick for meaningful change. (See highlights of the commission’s recommendations here.)

A few of the recommendations are new concepts for this legislature to consider, meaning lawmakers will have to build to a new comfort level before acting, said David Morrison, deputy director of the Illinois Campaign for Political Reform in Chicago. That comfort level might not come until proposals are spelled out in new legislation. “It’s not enough to describe the cake. You have to give the recipe, too,” he said.

Even for the controversial proposals, Morrison said he’s encouraged by the commission’s thorough report (the appendices alone take up 152 pages), which resulted from active engagement from people throughout the state. The commission’s effort also couples with the legislature’s special joint government reform committee. “There’s real intentional, deliberate action that may come out of this,” Morrison said.

Commissioner Brad McMillan, executive director of the Institute for Principled Leadership in Public Service at Bradley University in Peoria, spoke directly to the cynics during a Statehouse news conference this morning: “We have a new governor. We have new leadership in Springfield. We have a rare moment in time where the public believes that public corruption and ethics reform is the No. 1 issue in this state. We are hoping that this convergence will mean real, meaningful reform gets passed this legislative session.”

Law enforcement
Something new for legislators to consider is the commission’s concern that state law hamstrings state-level investigators. In turn, Illinois tends to rely on federal prosecutors to go after such public corruption cases as former Gov. George Ryan, political insider Tony Rezko and, now, former Gov. Rod Blagojevich, among many others. According to the report, prosecutors in most other states have powers and resources similar to those of federal investigators. Not Illinois. The commission said this state is only one of four that prevents states investigators from recording conversations with consent of one of the parties.

Also, the Illinois attorney general can convene a statewide grand jury to investigate some crimes but not cases of public corruption. That contrasts with Pennsylvania and most other states, according to the report.

Morrison said the idea of strengthening the powers of state prosecutors was one of the “most inspiring” recommendations. “We plainly cannot rely on federal law enforcement to police Illinois politics,” he said. “We need something that’s going to move faster than that.” It took prosecutors more than seven years to prosecute and convict Ryan.

Legislative reaction
Legislators are expected to debate some of the proposals soon, but Rep. Lou Lang of Skokie said the commission’s recommendations are “not necessarily the Holy Grail.”

“Just because the Collins commission says jump, it’s not our responsibility to say, ‘How high?’” he said.

Senate Minority Leader Christine Radogno said areas ripe for change include those where Illinois lags behind other states. She said some issues, including beefing up the Freedom of Information Act or cleaning up state contracting practices, could move quickly. Others, including campaign contribution limits, could take longer. “Some of the things we’ve already kind of vetted, and now we need to act,” she said. “Others we need to vet for the first time.”

Limiting the length of time state legislative leaders can serve in the top positions, for instance, hasn’t been debated. And it’s unlikely to find traction any time soon.

Limiting the amount individuals and political committees can donate to politicians has been debated, but it’s far from a consensus. Democratic Sen. Susan Garrett of Lake Forest said however controversial, she expects campaign contribution limits to get to the Senate floor for debate. “Absolutely, yes. I can’t imagine there not being a vote. I think every independent commission that is testifying across the state and hearing from different elected officials, the trend is, yes, Illinois needs to have caps on contributions.”

The amount of the cap is at least one sticking point. “We may be voting for two or three different caps,” Garrett added.

On the other hand, procurement, or the way the state contracts with service providers, is one area where widespread agreement could expedite reforms. But legislators are unlikely to go as far as recommended by the Illinois Reform Commission, which suggests pulling out all chief procurement officers and putting them into a new, independent state agency. Procurement officers expressed concerns last week about whether new rules would slow down an already cumbersome process.

Rep. Renee Kosel, a New Lenox Republican, said: “I think it is essential that we do all of it. Otherwise, you’re just going to leave ways to go around it.”

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Blagojevich pleads not guilty

By Hilary Russell

The last time he entered the building, he wore a running suit. This time, former Gov. Rod Blagojevich wore a suit and tie and maintained his innocence against the 16 criminal counts he was charged with in an April 2 indictment.


“His public persona is very consistent, and whether that’s based in confidence or delusion, I have no idea,” said Kent Redfield, a political science professor at the University of Illinois at Springfield. “But certainly he doesn’t act like someone who clearly is in jeopardy of spending a large chunk of the rest of his life in jail if he were to be convicted of all of the charges against him.”

U.S. District Judge James Zagel presided over the arraignment at the Dirksen U.S. Courthouse in downtown Chicago.

Blagojevich pleaded not guilty to all counts and was represented by defense attorney Sheldon Sorosky. According to the Associated Press, Sorosky requested the prosecutor’s permission to use money from one of Blagojevich’s campaign funds, Friends of Blagojevich, to help pay for additional attorneys to represent Blagojevich. Sorosky reportedly stated his concern that it will take more than one attorney to give his client fair representation.

But if Blagojevich were convicted, the Associated Press reported that prosecutors said they would ask the judge to forfeit the campaign money, which would mean that any attorney representing Blagojevich could be forced to return payments received from the campaign fund.

Redfield said that if money became an issue, that could spell trouble for Blagojevich. “The [former] governor faces a real possibility that he is not gonna have the strongest counsel as he would want because this is a very complex trial. There is a ton of discovery involving all those tapes and the defendants. It’s a very complex case, and it’s not clear where he would get the resources to hire a top-notch legal team to defend himself.”

Blagojevich lost his first legal team just prior to the Senate trial in which he was impeached and thrown out of office. Edward Genson, Sam Adam and Adam's son by the same name, cited different reasons for recusing themselves from the case.

Robert Blagojevich, the former governor’s older brother, also appeared at the arraignment today and was represented by Michael Ettinger. Robert Blagojevich was hired by his brother to act as campaign manager after prosecutors began investigating Christopher Kelly, who initially headed the former governor’s campaign fund.

In a statement released by the former governor’s public relations agency, Blagojevich said: “Now we can begin the process of getting the truth out, and I can clear my name and vindicate myself. I have not let down my family or the people of Illinois. I am innocent of every single allegation."

During an appearance with President Barack Obama’s Education Secretary Arne Duncan in Chicago, Gov. Pat Quinn said the only way to clean up state government is by making major changes.

“We have to take the indictment and dissect and identify every part of state government that was put in jeopardy,” Quinn said (download audio file here). “These are allegations, of course, but I think there’s still fire bells going off in the night to alert the people of Illinois and to the governor of Illinois that reform is indispensable.”

Kelly, a former Blagojevich aide, and John Harris, Blagojevich’s former chief of staff, and Springfield businessman William Cellini are scheduled to be arraigned Thursday. Alonzo “Lon” Monk, Blagojevich’s former campaign manager and chief of staff, is scheduled to be in court next week. Harris and Monk are reportedly cooperating with investigators.

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Prosecutors target “Blagojevich Enterprise” - UPDATED

By Bethany Jaeger, with Hilary Russell and Jamey Dunn contributing
Today’s 75-page federal indictment of former Gov. Rod Blagojevich and five members of his inner circle details an extensive and long-term scheme that allegedly began in 2002, before Blagojevich took his oath of office in January 2003.


U.S. Attorney Patrick Fitzgerald’s office is now going after what’s described as the “Blagojevich Enterprise,” which includes the office of the governor and Blagojevich’s campaign fund, Friends of Blagojevich. The entity, the feds allege, primarily existed to “exercise and preserve power over Illinois government for the financial and political benefit of Blagojevich,” as well as his family members and friends.

Read the U.S. attorney's press release here. A fact sheet is here. More context and online sources of how we got here at Illinois Issues magazine.

Blagojevich and his associates allegedly conducted a pattern of dishonest behavior designed to enrich themselves, which would violate the federal Racketeer Influenced and Corrupt Organizations Act, or RICO, according to Andrew Leipold, a law professor with the University of Illinois’ Institute of Government and Public Affairs.

Blagojevich is charged with 16 counts of federal corruption, including racketeering conspiracy, wire fraud, extortion conspiracy and attempted extortion. They each carry a maximum sentence of 20 years in prison and a $250,000 fine. He also allegedly lied to the FBI, a crime carrying a maximum five-year prison sentence and another $250,000 fine. In addition to the allegations already documented in the criminal affidavit filed with his arrest Dec. 9, 2008, today’s indictment includes new details and allegations.

Who
The indictment reads less like alphabet soup because federal prosecutors in the Northern District of Illinois have identified and, in some cases, convicted individuals as part of the ongoing probe called Operation Board Games. Joining Blagojevich in the indictment include five others:

• His brother, Rob Blagojevich of Nashville, Tenn., who chaired his campaign fund since August 2008.
• John Harris of Chicago, Blagojevich’s chief of staff from late 2005 until last December, when he was arrested with Blagojevich.
• Alonzo “Lon” Monk of Park Ridge, a lobbyist and longtime Blagojevich insider and campaign manager, as well as Blagojevich’s first chief of staff upon becoming governor in 2003.
• Christopher Kelly of Burr Ridge, a Blagojevich fundraiser and previous chair of Blagojevich’s campaign fund.
• William “Bill” Cellini of Springfield, director of the Illinois Asphalt Pavement Association, who raised money for Blagojevich and allegedly influenced officials of the Teachers’ Retirement System. He also was associated with Commonwealth Realty Advisors, a real estate management firm that invested hundreds of millions of dollars on behalf of TRS. He was indicted in October 2008 for “allegedly conspiring with others to obtain campaign funds for Blagojevich by shaking down an investment firm seeking a $220 million allocation from TRS.” This replaces that indictment.

What
Before Blagojevich even became governor, he, along with Monk, Kelly and Tony Rezko, allegedly started scheming to use the governor’s office for financial gain that would be split among them once Blagojevich left office. Blagojevich allegedly let Kelly and Rezko exercise significant influence over state government operations, and they, in turn, allegedly generated millions of dollars for Blagojevich’s campaign fund and “provided financial benefits directly to Blagojevich and his family.” For instance, one part of the scheme allegedly included Rezko's real estate business paying Patti Blagojevich, the then-governor's wife, $12,000 a month, as well as another $40,000 in commission, "even though she had done little or no work," according to the indictment.

The indictment also alleges that Blagojevich had control of his campaign fund at all times, even as the chairmen of the fund changed.

UPDATED: Some more highlights of the details:

• Before Blagojevich became governor, he, along with Monk, Kelly and Rezko, allegedly started scheming to use the governor’s office for financial gain that would be split among them once Blagojevich left office.
• Blagojevich, Monk, Kelly and Rezko allegedly agreed to use Blagojevich’s and Monk’s offices to divide financial gain among themselves, including the kickback from the Pension Obligation Bond refinancing in 2003.
• The feds say Blagojevich lied to FBI agents on March16, 2005, when he said he kept state government and politics separate and didn't want to know who contributed money to his campaign.
• From 2004 to 2006, Rezko allegedly gave Monk between $70,000 and $90,000.
• Last year, Blagojevich allegedly directed Harris to find him a paid position at various state boards, and when that didn’t work, he directed Harris to connect his wife with financial institutions. When that failed, Blagojvich directed that those institutions to no longer get state business, according to the indictment.
  

The federal prosecutors are seeking the forfeiture of all funds and assets held at four banks in the name of Friends of Blagojevich, although the campaign fund is not a defendant. Fitzgerald's office also seeks $188,370 from Blagojevich as proceeds of the alleged scheme and racketeering activity. The indictment lists Blagojevich’s apartment and Chicago home as “substitute assets.”

Now what?
The indictment comes after more than a month of public hearings conducted by two panels, one appointed by Gov. Pat Quinn and one convened as a special joint legislative committee between the House and the Senate. Within two hours of the indictment being filed office tonight, one of the byproducts of the legislative committee passed both chambers.

The General Assembly approved SB 364, crafted with the leadership of House Speaker Michael Madigan and Senate President John Cullerton. It’s aimed at reforming the state’s public employee pension system and requiring all trustees to abide by state ethics laws. All trustees of the Teachers’ Retirement System, specifically, would be replaced. And the governor would be able to appoint more trustees to that board.

The Teachers’ Retirement System, which serves more than 355,500 teachers outside of Chicago, was one of the first state government operations revealed by the feds to be corrupted by Blagojevich’s inner circle, according to Fitzgerald’s office. System officials immediately released a statement of opposition, saying the governor’s ability to appoint more members has potential to increase, not decrease, the opportunity for political influence.

The board’s statement said the rationale behind the measure “erroneously accused the elected members of the board of failing to prevent a corruption scheme in 2004 hatched by a former gubernatorial appointee,” meaning Stuart Levine. “The elected trustees of the TRS Board are angry and deeply troubled by the implication that they were somehow complicit in the illegal behavior carried out by Stuart Levine,” said Bob Lyons, a board trustee twice-elected by annuitants of the Teachers’ Retirement System following Levine’s resignation, according to the statement.

Lyons also said that terminating Jon Bauman, executive director of the system, on July 1 would unfairly punish a man who hasn’t been accused of committing a crime.

Cullerton said the reforms are designed to prevent “what Stuart Levine got away with for so long” by requiring consultants to register, requiring all board members to follow the same ethics standards applied to legislators and executive branch employees to prevent conflicts of interest and so-called pay-to-play politics.

Cullerton also offered his personal reaction to the former governor’s indictment. “I think it’s a sad situation because he is the father of a couple of kids. He lives down the street from me, and it’s always sad when stuff like this happens. But, at the same time, I can’t imagine what this place would be like if he were still the governor trying to solve the problems that we have with the incredible deficits that we have.”

Legislators of both parties added that the indictment should serve as yet another wakeup call to enact meaningful reforms to strengthen rules for campaign finance, state procurement, public access to information and even the structure of government. Ultimately, however, reforms can only make it harder for people who are bent on mischief, Leipold said. “Surely oversight can help, sunshine can help, reporting can help, but nothing’s going to stop things like this completely.”

Many just want to move on from the embarrassment. “There’s plenty of blame to go around,” said Rep. Bill Black, a Danville Republican. “I don’t care about what has happened. Let's get involved and care about how we clean this up. I want my grandkids to be proud of me.”

At the least, federal prosecutors continue to send a message that “business as usual” won’t be tolerated. Sen. Matt Murphy, a Palatine Republican, said: “And the prosecutor is serious. People who want to play that game better learn real quick it’s a losing proposition.”

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The never-ending story

By Jamey Dunn
House Speaker Michael Madigan sent documents today to the Sangamon County state’s attorney’s office that could prompt a perjury investigation of U.S. Sen. Roland Burris, and Burris on Monday revealed more information about his conversations with Rob Blagojevich, brother of the former governor.



Burris’ latest public perception battle began over the weekend, when it was revealed in a new affidavit that he discussed his interest in the U.S. Senate seat with members of former Gov. Rod Blagojevich’s inner circle. Illinois Republicans and Democratic Attorney General Lisa Madigan have called for Sangamon County State’s Attorney John Schmidt to investigate possible perjury charges based on inconsistencies between the most recent affidavit, filed earlier this month, and Burris’ affidavit and testimony that was given to the House committee a month ago.

Madigan today sent the two affidavits that Burris filed with the special House investigation committee and a transcript of his testimony to Schmidt’s office. House Minority Leader Tom Cross said that this was a “good start,” but he said he still wanted Democrats to explain why they did not disclose the affidavit as soon as it was filed February 4.

Rep. Jim Durkin, minority spokesman for the House committee, said that Democrats kept the GOP members out of the loop by refusing to reveal the new affidavit and by making the decision to send the documents to the state’s attorney’s office on their own. Durkin said Democrats have closed the door on bipartisanship and that he sees “no reason to talk to them about anything.”

Meanwhile, Burris continues to add details to his story. He reportedly said today that he reached out to the prosecutor and said he had nothing to hide. Also, according to the Chicago Tribune, he said he did, indeed, speak to the former governor’s brother and tried raise some money for the governor’s political campaign. As outlined in the affidavit, there were three conversations. Burris shed some more light on them today, per the Tribune transcript:

1. October 2008: Burris said Rob Blagojevich called him to seek fundraising help for the former governor, and Burris said he couldn’t help until after the election. According to Burris, during that phone call, he also inquired about the Senate seat. Rob Blagojevich’s lawyer has been quoted as saying otherwise. According to Burris’ affidavit, Rob Blagojevich said Burris’ name had come up.
2. After the November election, Rob Blagojevich called again. Burris said he tried to organize fundraising, but no one he approached was interested in donating. Burris said they discussed the possibility of approaching other people to raise money.
3. The third time that Rob Blagojevich called, Burris said he explained that he could no longer help because he was interested in the appointment. Burris previously said that he did not offer any fundraising help.

Kent Redfield, a political scientist at the University of Illinois at Springfield, said there probably was no quid pro quo involved in the U.S. Senate appointment. Redfield said that Burris’ one chance to clear up any suspicion about his appointment and “sever ties” with the former governor was in January. And the more details that come out now, the more “everything is under suspicion.”

In addition, Redfield said, the more details that trickle out, the more Burris’ chances in the 2010 U.S. Senate race are called into question. Burris’ actions also increase the chances that state Treasurer Alexi Giannoulias, who currently is traveling abroad with U.S. Sen. Dick Durbin, will make a run for the seat. Redfield also said that if Burris decided to run and won the Democratic primary, these revelations would become fodder for a Republican challenger’s campaign. “The TV commercials almost write themselves,” he said.

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Chris Kelly indicted again

Christopher Kelly, a former campaign manager to former Gov. Rod Blagojevich, received another federal indictment today, this time alleging he rigged roofing contracts with two major airlines to pay for gambling debts and a house, among other things.

We wrote about him a little more than a year ago, when his first indictment said he used corporate funds from his roofing and consulting firms to pay illegal gambling debt and bookies.

The most recent indictment says he allegedly funneled more than $1.18 million in proceeds from fraudulent contracts (see U.S. Attorney Patrick Fitzgerald's news release here). He’s the president and owner of a roofing firm, which allegedly rigged bids to steer $8.5 million in “inflated contracts” for roofing work done on American Airlines and United Airlines facilities at O’Hare International Airport. The scheme allegedly helped Kelly pay $383,000 in personal gambling debts, $700,000 for a personal loan to buy a house and $40,000 in personal expenses. The scheme also granted $450,000 to a president of the consulting firm allegedly involved in the activities.

Kelly was charged with 11 counts of mail fraud and six counts of money laundering. Each count carries a maximum penalty of 20 years in prison and a $250,000 fine. The feds also are seeking the $1.18 million involved in the money laundering counts, $1.6 million involved in the contract fraud, as well as Kelly’s Burr Ridge house. He’ll be arraigned at a later date.

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The cowboy way

Jamey Dunn contributed to this post.

Gov. Rod Blagojevich today compared himself, among other things, to a cowboy facing a hanging before getting a fair trial. He used a rather dizzying metaphor to illustrate his series of accusations that the Illinois Senate impeachment trial set to begin Monday is a “sham” and a foregone conclusion.

He’s making a not guilty plea through the media rather than through the impeachment trial. It began with an exclusive interview on live Chicago radio this morning, followed by a Chicago news conference this afternoon. Throughout both events, he never denied that it was his voice on the FBI recordings that were obtained as part of the ongoing criminal investigation. Nor did he deny that he actually said those things transcribed in the 76-page criminal complaint, swear words and all. On WLS-AM radio’s Don and Roma show this morning, he apologized for the profanity. “But had I known they were listening, I wouldn’t have used those words.”



In both the radio interview and the news conference, he presented a conspiracy theory, of sorts, for why the state legislature is diligently working toward removing him from office: “They want to get me out fast so they can put a huge income tax increase on the people of Illinois, an income tax increase that I fought for six years,” he said. Referring to a proposal to increase the sales tax on motor fuel, he said, “If I’m out of the way, they can quietly push this through, and the people of Illinois are going to see their taxes go up during an economic depression.”

He said everything he has done as governor — including expanding health care to middle-class families, offering free mass transit rides for seniors, allowing women to get free pap smears and mammograms and increasing the minimum wage twice — was done in the best interest of the people and was "not that inconsistent with the way the process works.”

He also said the Senate trial rules deny the presumption of innocence and are choking his ability to tell the truth. He specifically blames two Senate rules, which he says prevent him from calling witnesses and from challenging the charges. He said he wants to call President Barack Obama's chief of staff, Rahm Emanuel, as well as Obama administrator Valerie Jarrett, and U.S. Rep. Jesse Jackson Jr., who Blagojevich said would verify proper conversations about appointing a replacement to Obama's U.S. Senate seat. And Blagojevich would call U.S. Sens. John Kerry and John McCain, as well as governors from Kansas and Wisconsin, who Blagojevich said helped in the effort to import prescription drugs from Canada for seniors.

“Just let me bring my witnesses in to show people and to have them under oath testify before the Senate that I have not done anything wrong and I’ve done mostly things right. And if they just give me a chance to bring witnesses, I’ll be there first thing Monday morning. It’s just that simple.”

The rules, however, are clear that his defense team could have called witnesses if they would have participated in the trial, which they don't plan to do. They missed the deadline to subpoena witnesses. Here’s that rule:

Rule 15(f)
It is never in order to request a subpoena for the testimony of any person or for the production of documents or other materials from that person if the U.S. Attorney for the Northern District of Illinois has indicated that the person’s testimony, or inquiry into the subject matter of that person’s testimony, could compromise the U.S. Attorney’s criminal investigation of Rod R. Blagojevich, as exemplified by, but not limited to, exhibits 10, 24, and 30 of the House impeachment record, unless the U.S. Attorney subsequently indicates otherwise.

CLARIFICATION: He’s [somewhat] right that the rules do prevent him from challenging the charges detailed in the report recommending impeachment, as approved by the full House. But he could have filed a response to the charges, and he could have filed a motion to dismiss them. Neither he nor his lawyers did that by the deadlines. So he missed his chance to challenge the charges. Here’s that rule:

Rule 8(b)
The House Prosecutor or the Governor or his counsel may object to the admission or exclusion of evidence. Any objection must be addressed to the Chief Justice. No objection, however, may be made against all or any part of the House impeachment record filed by the House Prosecutor with the Secretary.

“In short, you can have all the witnesses you want,” Blagojevich said in the afternoon news conference. “It doesn’t matter because that document alone is going to be accepted as fact.”

Sen. Kirk Dillard, a Hinsdale Republican, said the governor’s interpretations of the rules are “flat out wrong.” In a phone conversation yesterday, Dillard said: “We have certainly gone overboard to protect his due process rights, and, the rules are essentially copied from the federal system, which acquitted or did not impeach Bill Clinton. So under the same set of standards and guidelines, President Clinton walked.”

Kent Redfield, political scientist at the University of Illinois at Springfield, said Clinton probably was guilty of some minor felonies but that he had strong political and public support, so the Senate would not convict. Blagojevich could be trying to do something similar, he said, appealing to Illinois citizens to apply pressure on the senators.

Redfield doesn’t buy it.

“He seems to be pretty removed from reality at this point,” he said. “We’re past the point that he can rally public opinion.”

Blagojevich throughout the day repeatedly cited historical figures — including Richard Nixon and Teddy Roosevelt. He also said he was in a modern-day Frank Capra movie such as Mr. Smith Goes to Washington, where the good guy fights the establishment and gets accosted for breaking the rules but continues to fight for the people. “The only difference is some of the language is that you wouldn’t hear in the 1930s,” Blagojevich said.

Redfield says the governor is playing out the same act over and over again. “The frightening thing about that performance is that he seems to be completely sincere.”

Blagojevich did have a sentimental moment on the Don and Roma show this morning. He said he’s determined to clear his name and his reputation for the sake of his daughters, which he said is why he wouldn’t resign. “To simply cut and run is to simply say that I did something wrong, and then my little girls are going to grow up thinking somehow their dad did something wrong when I didn’t. That, I’ll never ever sacrifice.”

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Impeachment: Day 5, defense

Things could get a lot more interesting in the Statehouse January 5. Federal prosecutors want to release some of the secret recordings detailed in the criminal complaint against Gov. Rod Blagojevich. If the recordings were released, it would enhance the depth of evidence gathered by the Illinois House committee investigating if there’s cause to impeach Blagojevich.

To this point, there have been two veins of evidence gathered by the committee. One is the criminal complaint filed by the feds. However, the committee has been limited in how far it can delve into the allegations because it was asked not to interfere with the federal probe. The second vein is potential non-criminal offenses, primarily whether Blagojevich abused his executive powers. The governor’s attorney has argued that the committee has failed to meet a burden of proof that the governor did anything other than “chatter” and “jabber” about ways to use his powers.

But if U.S. Attorney Patrick Fitzgerald gets approval from Chief Judge James Holderman to release recordings of four conversations in full and redacted form, the House committee would have potentially criminal evidence, not just political evidence. Fitzgerald technically isn’t required to get court approval before releasing recordings, but his motion filed Monday said he is doing so now “out of an abundance of caution.”


The conversations would be limited to one alleged deal to collect $100,000 in campaign contributions to Blagojevich by January 1 in exchange for his signature on a bill. The bill described in the affidavit would shave 3 percent of riverboat profits to subsidize the horse racing industry.

The description of the conversation — found in paragraph 68(e) on page 39 of the criminal complaint — includes “Fundraiser A,” “Contributor 1” and “Lobbyist 1.” Anyone who thought they would be harmed by the release of the recordings can file a motion to stop the release.

Edward Genson, the governor’s attorney, would not say Monday whether he would fight the release of those recordings. He repeatedly has argued that the wiretaps and bugs of the governor’s conversations were illegally obtained and should not be included as evidence in the House investigation or in a criminal trial.

Genson got his chance to present a formal defense of the governor at Monday’s hearing in the state Capitol.

“The fact is we’re fighting shadows here,” he said to legislators. “We’re fighting unnamed people, we’re fighting witnesses that aren’t available, we’re fighting people that haven’t been indicted, we’re fighting preliminary hearings that haven’t been, we’re fighting parades of allegations that people who are dissatisfied with the administration but certainly haven’t talked to us about criminal conduct. We have a mere complaint.”

Genson said the committee must meet a burden of proof provided in the 1997 impeachment investigation of then-Illinois Supreme Court Justice James Heiple. The standard then, he said, was that non-criminal offenses “must be of a magnitude and gravity comparable to the criminal standard.”

Rep. Lou Lang, a Skokie Democrat on the committee, said this committee is not bound to the standards provided in a 10-year-old case. In fact, he said, the state Constitution only requires that a committee find “cause.”

“Each member of the House of Representatives, and, if it gets that far, each member of the Senate, will decide what ‘cause’ is and what ‘cause’ means,” Lang said. “There is no definition in the law.”

Lang also took issue with Genson’s interpretation of the standard needed for information that is not part of the criminal complaint. “In my view, and I’m going to guess the view of many sitting with me, a non-criminal violation of the Constitution is still a violation of the governor’s constitutional oath,” Lang said. “And, therefore, if this committee finds that the governor has violated his constitutional oath for whatever reason, that would be cause or grounds for possible impeachment.”

Lang also countered Genson’s comments that the conversations outlined in the criminal complaint consist of “chatter” that fail to prove that anything illegal happened. Lang said talk of so-called pay-to-play politics is enough for this committee. “It’s a crime in the state of Illinois to offer to do a public act for value. Whether somebody takes you up on that offer is irrelevant.”

Committee members said they’re weighing the totality of circumstances presented since the governor’s arrest. Yet, many members aren’t exactly keeping a poker face.

“I think a lot of members have begun to make up their minds, at least members on this committee,” said Rep. Gary Hannig, a Democratic member. “And it appears to me that they’re beginning to move towards the side of impeachment.”

The committee is on hold until at least January 5 or until the court decides whether to support Fitzgerald’s release of the selected recorded conversations.

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Impeachment: Day 1

Jamey Dunn, Public Affairs Reporting intern, contributed to this report.

It’s the first day that the Illinois House is investigating cause for impeaching Gov. Rod Blagojevich, and Kent Redfield already anticipates articles of impeachment from the House and a successful trial by the Senate.

A political scientist at the University of Illinois at Springfield, Redfield said that politically, the governor has forfeited his ability to govern.

Both chambers took actions today that attempt to establish precedent for the proceedings, given that the state Constitution’s vague language and the state’s short history on the process.


The House committee’s investigation will lead to a recommendation about whether to hold actual impeachment proceedings by the full House. More significant action will start Wednesday, when the first witnesses will be called and the rules will be adopted.

Should the House send articles of impeachment over to the Senate, then that chamber is preparing rules to guide a trial. A special committee created today will will draft the rules.

House investigation
But the process starts with the House. Majority Leader Barbara Flynn Currie, chair of the House investigative committee, said she intends to call witnesses to testify, including Ali Ata and Joseph Cari. Both were convicted of felonies related to the federal investigation into the Blagojevich Administration’s hiring and contracting practices

However, the request for witnesses could interfere with the ongoing criminal investigation headed by U.S. Attorney Patrick Fitzgerald. The federal prosecutor asked for a letter with more specific requests about the committee's plans.

Until Fitzgerald’s office responds, members might not meet seven days a week as scheduled. “While we are prepared to work, roll up our sleeves, get it done in a timely but deliberative fashion, we may be stymied early in the investigation by an inability to get clear answers from the United States attorney,” Currie said.

Then again, Redfield said, the effect on the feds’ criminal case is a completely separate issue. “Obviously the legislature’s not going to force someone to testify in ways that would compromise their legal position, but the legislature cannot focus on what this does to the U.S. attorney’s criminal case. The legislature has to focus on what is its political duty, its constitutional duty, in terms of exercising impeachment in a situation that clearly calls for impeachment.”

Even without the U.S. attorney’s cooperation
Even if the feds think the House committee’s proceedings could compromise the criminal investigation, some Democrats and Republicans said they have enough information to go on for impeachment.

Rep. Jack Franks, a Woodstock Democrat and longtime Blagojevich critic, said the plea agreements of Ata and Cari (Ata’s here; Cari’s here) spell out so-called pay-to-play politics, where Ata donated $25,000 to Blagojevich’s political campaign and landed a $125,000 state job soon after. “I’ve been asking for these [hearings] for months, well before this arrest occurred,” Franks said. “I’m confident that we have enough information.”

Franks also intends to discuss two state audits that looked into the governor’s purchase of doses of European flu vaccines that went unused, as well as a $1 million grant mistakenly given to a Chicago school.

The committee might not even need the criminal charges. Showing a significant abuse of power by the executive could itself be adequate cause for impeachment, Currie said.


Political process
That’s partially because the impeachment process is a political proceeding, according to Redfield. While the committee will consider criminal charges filed by the feds, it also will consider the governor’s performance. And it doesn't have to prove anything beyond reasonable doubt. “This is about whether or not the governor has violated his oath of office, whether he is fit to govern or whether he can govern. It’s a political decision.”

Partisan politics also are inevitable. Republicans will have ample opportunity to make Democrats look bad, considering Democrats control every office in this state. Call it retribution for years of GOP fallout from former Gov. George Ryan.

“It’s going to be very easy to get into broad questions of policy and the failures of the Democratic leaders, as well as the governor, to get things done,” Redfield said.

Senate Republicans, in fact, said in a Statehouse news conference this afternoon that they urge an equal number of Democrats and Republicans on the impeachment-related committees to prevent the majority party from being able to cover up facts that could hurt the party’s reputation.

“Is this more about uncovering everything and learning about everything that maybe the governor was involved in, or is it about just selectively trying to carve the governor out of the process and leave everything in place?” said Sen. Dale Righter, a Mattoon Republican. “If the latter is what happens, there will not be reform in Illinois politics. There will just be more of the same.”

Here’s the Senate resolution creating a nine-member committee to come up with the rules for a potential impeachment trial. Democrats have five members, Republicans four.

Impeachment: Day 2 and 3
Wednesday
The real work in the House investigative committee will start Wednesday, when members have invited the governor’s lawyer to testify. Items on the agenda, starting at 11 a.m.:

• Digest the 76-page criminal complaint against Blagojevich
  
• Review the plea agreement of Ali Ata
• Review the plea agreement of Joe Cari

Thursday
Thursday’s agenda would focus on information not needed from the U.S. attorney’s office. That includes two items:

• Cases in which the governor might have exceeded his authority, including initiatives he tried to advance through the Joint Committee on Administrative Rules. For instance, the governor tried to enact a FamilyCare health insurance program for middle-income families.
• Audits of the governor’s effort to secure doses of European flu vaccine without legislative approval.

Obama’s replacement update
To the Senate GOP’s disappointment, the Senate did not consider legislation that would allow for a special election of President-elect Barack Obama’s replacement in the U.S. Senate. The House Democrats asked for more time to consider such a measure, which wouldn’t happen until the General Assembly returns January 12.

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Impeachment hearings start Tuesday

Seven days after Gov. Rod Blagojevich’s arrest on federal corruption charges, a special Illinois House committee will start to meet every day, including weekends, other than four days for the holidays, as long as it takes to determine whether there is cause to impeach the governor. But even in crisis, the political rhetoric within the Statehouse today was thick, dashing the hopes of voters and government insiders hoping to see a sense of unity after a week of shocking corruption allegations.


Obama’s replacement
One thing the House will not do tomorrow is advance legislation that would allow for a special election to replace President-elect Barack Obama in the U.S. Senate. House Speaker Michael Madigan said his Democratic caucus was split on the idea and would like some extra time to consider it. The full House is not scheduled to return to Springfield until January 12.

House Republicans used the national spotlight to liken Democrats to enablers of the allegedly corrupt Democratic governor. Republicans like the idea of a special election not only because the GOP would have a chance to snag a Democratic seat, but, more importantly, because an election would avoid the perception of impropriety that plagues the current system of giving one person sole authority to appoint a replacement, said House Minority Leader Tom Cross.

Democratic Rep. Lou Lang of Skokie said there’s nothing inherently wrong with the appointment process, just the person currently holding the power to use it. He said he opposed the idea of changing state law because of one official who was disliked or incompetent.

Various versions of the special election legislation are here:

• Rep. Jack Franks' version, HB 6730
• The speaker's empty version, HB 6731
• Rep. La Shawn Ford's version, HB 6732
• And the Republicans' version, HB 6733.

Impeachment
The special committee to investigate whether there’s cause for impeachment consists of 21 members, including 12 Democrats and nine Republicans. Democratic members must have served at least six terms. Republicans have not yet released their committee members, as of this post.

The vein of evidence to be collected? “Abuse of power,” Madigan said during a Statehouse news conference this afternoon. “The many instances where the governor took governmental action without authority by the legislature, took governmental action without an appropriation having been adopted, instances where he ignored directives from the legislature.”

Find a one-stop-shop for Blagojevich stories and analysis at Illinois Issues magazine here.

The speaker’s staff has been reviewing grounds for impeachment for about a year, he said. The committee, chaired by Majority Leader Barbara Flynn Currie, also likely would attach the criminal complaint against Blagojevich as evidence. They are asking the U.S. attorney’s office for cooperation in sharing information.

Madigan will preside over the proceedings, which will be public hearings that take place in the state Capitol.

The estimated timeline has ranged from a few weeks to a few months. Madigan said the governor’s decision about whether to attend the proceedings as “invited” could play into how long the process takes. “If he does not appear personally or through an agent, it will greatly shorten the proceedings of the committee. If he appears personally or through an agent, it will lengthen the proceedings of the committee. That’s all I can tell you.”

Whatever the timeline, it’s expected to be thorough. “We are going to move with all deliberate speed, but we’re not going to trample anybody’s constitutional rights in the process,” Madigan said.

If the proceedings run into the next General Assembly, which is scheduled to start January 15, committee members said they would vote to allow their work to carry over.

Currie emphasized that the proceedings aren’t just about Blagojevich. Given the Illinois Constitution’s vague description of the impeachment process, this investigative committee’s actions set precedent for the future, Currie said. “And it is absolutely critical that we do this deliberately, that we don’t rush to judgment, that we don’t say, ‘Because the public is clamoring for his head, we should take the head first and do the trial later.’”

The governor’s office declined to comment.

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It only gets harder

Illinois Gov. Rod Blagojevich’s arrest this week unleashed a fury of activity that a) demonstrates how complicated and unprecedented this week’s events have been in Illinois and b) gives us a potential glimpse into what our future state government could look like.

Everyone agrees that the state legislature needs to act quickly but fairly. Yet, there’s already dissension among the legislative leaders and the second-in-command, Lt. Gov. Pat Quinn. If next week’s emergency legislative session doesn’t foster some kind of consensus-building atmosphere, the national media will continue to sharpen their pencils and take copious notes about how such a screwed up state produced the next U.S. president.

Case in point: CNN’s headline the day after the governor’s arrest: “Illinois state politics read more like a script from ‘The Sopranos’ than a page out of the history books.”



The context

1. All 50 Democratic U.S. senators indicated they would not seat anyone appointed by Blagojevich to replace President-elect Barack Obama, so that begs the question of how Obama should be replaced: Let the lieutenant governor appoint a replacement, or change state law to let the Illinois voters elect a new senator.
2. There’s mounting pressure, even from the future president of the United States, for Blagojevich to resign. If he doesn’t, which is somewhat expected for this unpredictable individual, then there’s question of whether the legislature or the state Supreme Court shall kick him out of office.

The intertwined debate
In a very gubernatorial-like news conference from his Statehouse office this morning, Quinn said he doesn’t want to wait for a special election to fill Obama’s Senate seat. He would select a replacement as his first act as governor, if Blagojevich resigns or is forced out.

Quinn added that the governor’s legal problems already cost the state. Standard & Poor’s Rating Services put the state on a negative credit watch, potentially making it more expensive for the state to borrow $1.4 billion to pay down backlogged bills.

“We’re going to have to spend more taxpayer money to borrow $1.4 billion … because we have a cloud, a storm cloud, over the governor of Illinois and his chief of staff,” Quinn said.

The short-term borrowing is delayed by a few days, according to Carol Knowles, spokeswoman for state Comptroller Dan Hynes. She did not comment about why it was delayed but later said, "Everything in state government is in jeopardy as long as the governor remains in office."

The need for that borrowing plan adds to the urgency of why the Illinois General Assembly should immediately address “the source of the problem,” Quinn said, referring to getting Blagojevich out of office. “To focus on anything other than that, I think, is missing the highest priority.”

The House and Senate are scheduled to come back into emergency session Monday and Tuesday, but the intent is to advance legislation that would change state law so that voters could choose Obama’s replacement through a special election.

Quinn frequently speaks of “government by the people and for the people” and said that a special election would be ideal in normal circumstances. But the current scenario would make it more delayed and more expensive — by about half a year and $50 million. Quinn said that lag time would rob the state of a voice while the Congress voted on major decisions for reviving the national economy.

So far, there’s little indication that the chambers will comply with Quinn’s ideas.

Senate Republicans released a statement that supports the call for a special election. Incoming Senate Minority Leader Christine Radogno is quoted in the release as saying: “It is ludicrous to talk about anyone appointing the next United States senator. … There is no way that an appointment process can be free from the stench of this corrupt administration.”

In Illinois, the lieutenant governor and the governor do not run as running mates in the spring primary elections. They get lumped together on the same ticket in the November general election, making Blagojevich and Quinn running mates. Yet, Quinn said this morning that since the 2006 election, he repeatedly has spoken out against Blagojevich for various reasons, including the vastly unpopular idea to levy a gross receipts tax on businesses. Quinn was one of the most vocal supporters of an amendment to the state Constitution to allow voters to recall elected officials, a movement started because of Blagojevich. Quinn also held a rally of sorts outside one of Blagojevich’s fundraising events this year to support ethics reforms that will ban so-called pay-to-play politics, the heart of the federal probes involving Blagojevich.

House Minority Leader Tom Cross said a special election is the only way to help restore the public’s trust in the system. And while not alleging anything improper done by Quinn, Cross said an election would avoid perceptions that the appointment process is tainted.

Impeachment
Cross also introduced the first resolution that could start the impeachment process. It would form a committee to gather evidence and determine whether there’s cause for impeachment. Four House Democrats also released a letter saying they wanted impeachment proceedings to start immediately, allowing for the quicker appointment of a U.S. Senate replacement.

House Speaker Michael Madigan said he’s “prepared to discuss the suggestions of the House Republican Leader.” But it doesn’t look like he’s exactly on board with them. Steve Brown, Madigan’s spokesman, said: “They just want to have a committee to investigate the investigation. That seems like a two-step backward process to me.”

Cross, however, said this afternoon that his proposal is based on House proceedings in 1997. A special investigative committee was formed to gather evidence and decide whether it was enough to move forward with impeachment proceedings for then-Illinois Supreme Court Justice James Heiple. “There’s not a lot of history, here. There’s not a lot of guidance in the Constitution, so we’re trying to respect what the speaker did before,” Cross said. “The bottom line is we want to move forward.”

If Madigan wants to jump right into impeachment proceedings by the full House, Cross said he’s open to that. “I’m not going to block something because the speaker has a different way to go. We just need to move, I think, soon.”

The Heiple impeachment took six weeks. Former President Bill Clinton’s impeachment process took four months. Cross guessed that Illinois could get it done in about month, although no one really knows. “Regardless of the amount of time it takes, I think you need to start the process, or it’ll just hang over us longer and longer and longer.”

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How Blagojevich fits into Illinois history

Given today's arrest of Gov. Rod Blagojevich, we thought it might be helpful to consider the context of his arrest. Here is a list of Illinois governors tainted by corruption. Complete with page numbers, the information is gathered by Beverley Scobell at Illinois Issues magazine and contained in The Illinois Governors: Mostly Good and Competent.

Only one governor, Len Small (1921-1929) was indicted while in office. In July 1921, he was indicted by the attorney general whose appropriation he had cut (page 196, new edition of Governors book). Charges were conspiracy and embezzlement of interest money during Small's second term as state treasurer. The criminal trial held in Waukegan in 1922 ended with an acquittal. One historian suggested jury tampering because after the trial, four jurors received state jobs.

Four governors were indicted after their terms ended:

• William Stratton (1953-1961) was indicted in 1964 for violating income tax laws. He was acquitted on tax evasion charges centered on campaign contributions (page 242)
• Otto Kerner (1961-1968) was convicted in 1973 of conspiracy, income tax evasion, mail fraud and making false statements on income tax returns. He served 7 months of a 3-year sentence, released on parole when lung cancer was diagnosed (page 250 of the new edition of Mostly Good).
• Dan Walker (1973-1977) was sentenced after pleading guilty to bank fraud, misapplication of bank funds and perjury in 1987. He served one and a half years of a 7-year sentence (page 272).
• George Ryan (1999-2003) was indicted the December following his term on charges of tax fraud, racketeering conspiracy and other and crimes related to his actions as secretary of state. He was convicted in 2006 and began serving a 6 1/2 year sentence in November 2007.

One other governor, Joel Matteson (1853-1857), would probably have been indicted under today's laws. In the last year of of his governorship, he engineered the Scrip Scandal (page 80, new edition), where he cashed again notes issued to build the I&M Canal that had been redeemed but not cancelled. The state Senate Revenue Committee indicted him in 1859, held a trial, convicted then reversed the decision and finally acquitted him. He finally repaid the state more than $250,000 ordered by Sangamon County Circuit Court in 1863.

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Operation Board Game snags another piece

The U.S. attorney’s office in Northern Illinois is advancing its way around Gov. Rod Blagojevich’s inner circle, and Thursday’s indictment of GOP political bigwig William Cellini could be just another attempt to recruit one more person to testify against the governor, says Kent Redfield, political scientist with the University of Illinois at Springfield.

U.S. Attorney Patrick Fitzgerald indicted Cellini today on four charges of federal corruption. The 21-page indictment spells out a classic pay-to-play scheme of trading political campaign cash for state business. But Cellini’s attorney, Dan Webb of Winston & Strawn in Chicago, already combats the charges as “unfair and unjust” and based on shaky evidence.

The feds allege that Cellini was one of many people who conspired to rig state boards to hire investment firms that would, among other financial benefits, donate to the political campaign of Public Official A, previously identified as Blagojevich. The scheme allegedly happened between spring 2003 and summer 2005. Other conspirators already charged include Blagojevich insider Tony Rezko, former state board member Stuart Levine, attorneys Joseph Cari and Steven Loren and construction contractor Jacob Kiferbaum. Cellini’s indictment lists two more: Co-Conspirator A and a Teachers Retirement System Staffer A, yet to officially be identified. Co-Conspirator A is widely thought to be Christopher Kelly, who already was indicted on separate charges of tax fraud.

Cellini’s indictment alleges that he participated in a scheme to pressure Chicago businessman Thomas Rosenberg to give money to Blagojevich’s political campaign. The alleged ultimatum was that Rosenberg’s company, Capri Capital, had to raise money or donate to Blagojevich’s political fund to get a $220 million business deal with the Teachers’ Retirement System. The system oversees and handles investments for public pensions of teachers and administrators outside of Chicago. Private investment firms handle TRS assets. Through a statement, TRS administrators declined to comment but said the staff will “continue to uphold their fiduciary duty to our participants.”

According to Cellini’s indictment, the schemers decided it was too risky to continue pressuring Rosenberg when he threatened to go to authorities. But after that, Cellini, Rezko and others “discussed the possibility of removing the U.S. attorney for the Northern District of Illinois in an effort to stop any investigations into the co-conspirators and others,” according to the indictment.

Webb’s statement describes Cellini as “completely innocent of these charges, and he will fight this case because he has done absolutely nothing wrong.” It highlights the point that while a grand jury found Rezko guilty of 16 counts of corruption, they found him not guilty on one of the most serious charges of attempted extortion, relating to the charges involving Rosenberg. It states that Rosenberg testified in Rezko’s trial that “Bill Cellini never asked him for any money and that Rosenberg never paid any money to Cellini or anyone else.”

Redfield says if the assumption is that the U.S. attorney’s ultimate goal is to get all the way to Blagojevich, indicting Cellini makes sense. But there's no guarantee it'll work.

“At this point, Cellini thinks that this is not a slam dunk,” says Redfield. “And he’s willing to be indicted rather than to cooperate.”

And if the federal grand jury agrees with prosecutors’ assessment of Cellini’s involvement in the scheme, why would a successful, wealthy political insider at all levels of government work to secure funds on behalf of Blagojevich, a Democratic governor? Redfield says it’s all about power. “I don’t think it was so much about fighting for the governor as it was about power in the board and playing the game. He was as mover and shaker when [Jim] Thompson, [Jim] Edgar and [George] Ryan were governors. That’s what he knows and what he does … Power is addictive.”

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Rezko's guilty verdict affects many

Tony Rezko is immediately headed to jail after a jury found him guilty on 16 of 24 counts of federal corruption charges, including mail fraud, wire fraud and money laundering. He will serve time until his sentencing, scheduled for September 3.

The Wilmette businessman was a top fundraiser and unofficial adviser to Gov. Rod Blagojevich, who was mentioned in the 13-week trial as “Public Official A” but who has not charged with any wrongdoing.

This will be the gift that keeps on giving for those who oppose Blagojevich, and it will have widespread implications for the governor, the state legislature and federal prosecutors.

For starters, Rezko’s guilty verdict damages the governor’s credibility when he says he wants to “improve” recently approved ethics legislation, says Kent Redfield, political science professor at the University of Illinois at Springfield and director of the Sunshine database for campaign contributions. He says the verdict heightens the chance that legislators would override any changes the governor makes to the ethics reform. (See more here.)

The verdict also makes it more likely that legislators will continue to talk about impeaching the governor. The state Constitution gives the Illinois House the power to investigate impeachment, which already has started behind the scenes to “be prepared,” said House Speaker Michael Madigan last week “We’ve already done research on impeachment,” he said during a Statehouse news conference. “Our attorney, Mr. [David] Ellis, is chock-full of conclusions.” The Senate would have to approve an impeachment by a two-thirds majority.

Even if no impeachment trial unfolds, Redfield says the Rezko verdict damages the governor’s credibility and makes him weaker politically, as more people could be willing to take him on or ignore him.

It also could get worse legally. The guilty verdict gives federal prosecutors, led by U.S. Attorney Patrick Fitzgerald, leverage when trying to negotiate with Rezko to see if he’ll cooperate with ongoing investigations involving the governor’s administration and political campaign. “They really weren’t going to convict or decide whether or not to indict the governor based on these specific convictions,” Redfield says. “This gives them leverage along with the other charges that Rezko hasn’t even been tried on yet to try and see if he’s willing to make a deal.”

Rezko received two different indictments on the same day in October 2006. The first, which led to today’s verdict, linked him to an intricate scheme of so-called pay-to-play politics between 2001 and 2004. He was found guilty on some of the charges that he collaborated with at least five other people to use political clout to influence two high-powered state boards, allowing him to collect illegal fees and force political campaign donations. But the jury found Rezko not guilty on one of the most serious charges of attempted extortion, or illegally acquiring extra money from a company seeking to do business with the state.

The second indictment made allegations of business fraud involving a pizza franchise. Redfield says prosecutors could use those allegations to pressure Rezko to cooperate before the trial of Chistopher Kelly airs some more dirty laundry this fall. Kelly, a close Blagojevich friend and former campaign manager, was indicted in December 2007 for tax fraud by allegedly hiding more than $1 million of income over five years.

Prosecutors’ case against Rezko relied on one of the governor’s appointees, Stuart Levine, as the star witness. Levine pleaded guilty to mail fraud and money laundering in October 2006, but his testimony during Rezko’s trial revealed long-term drug abuse and an unreliable memory. Fitzgerald said in a Chicago news conference, seen from media coverage available on the Web, that he would not comment on Levine, as he could be a witness in other proceedings.

Rezko’s attorneys intend to appeal, according to news accounts.

The governor held a Chicago news conference later this evening, but I haven't been able to view it online, yet. Here's the statement we received from the governor's office:

Tony Rezko is a friend and was a supporter. On a personal level, I am deeply sad for what has happened to Tony. I am profoundly sad for his children and his wife Rita. My heart goes out to all of them. The jury’s decision is yet another reminder that ours is a system of government that is ruled by laws, and not by men. I respect the decision made by the jury. As for me, I will continue to get up every single day to work as hard as I possibly can for the people. Tomorrow I will meet with the legislative leaders so that we can balance the budget in a way that is fair and helps people. And I am working on passing a capital bill that will stimulate our economy and create more than 500,000 jobs.

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Missed opportunities

Gov. Rod Blagojevich escaped what would have been a media frenzy today by sneaking around Springfield for the annual Governor’s Prayer Breakfast and, according to the first lines of his speech, holding another meeting in the governor’s mansion about a state capital plan. His office provided audio (coming soon) of the nine-minute speech, and spokeswoman Rebecca Rausch said he then met with labor leaders about capital. He was back in Chicago by noon. The Statehouse press corps didn’t know about the events until after the fact. The quick in-and-out allowed him to avoid reporters who would have followed his every move to ask him to respond to Tuesday’s news — a political insider pleaded guilty and indicated that Blagojevich knew of an illegal deal to exchange a high-level state job for campaign contributions.

Ali Ata, former executive director of the Illinois Finance Authority, pleaded guilty to lying to federal investigators and fudging his federal income tax return. The federal probe is separate from but related to the case called “Operation Board Games,” involving Antoin “Tony” Rezko’s alleged influence in state business and campaign fundraising. Here’s that indictment, again.

Ata’s plea agreement indicates Rezko was instrumental in hiring Ata as executive director of the Illinois Finance Authority in exchange for his hefty contributions to Blagojevich’s political campaign. The state agency formed in 2004 and finances about $3 billion in projects for economic development each year.

The plea agreement said Ata met with Rezko and “Public Official A,” identified as Blagojevich, before Blagojevich was elected governor in 2000 or 2001 to talk about supporting his political campaign. They later talked about granting a state position in return.

Donations came in chunks as large as $25,000, as seen in Illinois State Board of Elections records. You can search all of Ata’s campaign donations here. Type in his name and scroll down to see his July 25, 2005, donation of $25,000 to Friends of Blagojevich.

In one conversation, Ata said he would accept a position within the administration, and Blagojevich allegedly said it had “better be a job where [Ata] could make some money,” according to the plea agreement. Ata allegedly was told he could head the Illinois Finance Authority as long as he agreed to report to Rezko. He officially was appointed in January 2004.

The plea agreement says Ata believed that he needed to please Rezko to keep his job. That involved donating about $125,000 to Rezko between 2003 and 2004, while he led the state agency.

Ata faces up to eight years in federal prison and up to $500,000 in fines. He’s fully cooperating with federal authorities.

Public reaction
The more that unfolds in the federal investigations surrounding the Blagojevich Administration, the more ears might perk up at the sound of “recall.” That would allow voters to kick someone out of office, but it requires a change in the state Constitution, either through an individual amendment or through a constitutional convention. Support for both could be growing, according to a survey by the Institute of Government and Public Affairs at the University of Illinois at Springfield. A convention would allow elected delegates to rewrite the entire state Constitution. And a majority of the public would have to approve the new charter.

Debate within the Capitol includes whether such emotional voting would lead to undesirable consequences in the long run. Whether the public likes or dislikes Blagojevich, changing the state Constitution to allow a recall of constitutional officers or state lawmakers — or any elected official, as proposed in the state Senate — could forever change the way elected officials behave. Supporters say that change is good because it would remind public officials that they always are accountable to the people who elected them. Opponents argue that change is bad because it would make public officials even more paranoid about voter dissatisfaction and, in turn, lead them to do whatever it takes to ensure they’re reelected.

For more information about a constitutional convention, see previous Illinois Issues articles:

November 2007 feature about Con-Con logistics, by Pat Guinane

December 2007 Q&A with Wayne Whalen, a delegate in the 1969-1970 Con-Con

Illinois Issues Blog entries about Con-Con

See more in the upcoming Illinois Issues magazine in the first week of May.

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